Amazon Prime Is the Problem

Amazon.com's Prime service has drawn in customers and added to the company's sales, but it has failed to lead to a long-term profit for the company. Travis Hoium dug deeper into the numbers and found that actual gross margin has fallen from 7% a year ago to 6.8% last quarter. The Fool's Erin Miller sat down with Travis to see why he's not seeing a strong future for Amazon's stock.

Everyone knows Amazon is the king of the retail world right now, but at its sky-high valuation, most investors are worried it's the company's share price that will get knocked down instead of competitors'. The Motley Fool's premium report will tell you what's driving the company's growth, and fill you in on reasons to buy and reasons to sell Amazon. The report also has you covered with a full year of free analyst updates to keep you informed as the company's story changes, so click here now to read more.

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